Guotai Junan's merger with Haitong Securities faces key review

Guotai Junan Securities (SSE: 601211) announced that the Shanghai Stock Exchange's Merger and Acquisition Review Committee will review its proposed merger with Haitong Securities on January 9, 2025. The merger involves a share swap where Guotai Junan will issue A-shares to Haitong Securities' A-share holders and H-shares to H-share holders. Concurrently, Guotai Junan plans to raise additional funds. The transaction still requires approval from the Shanghai Stock Exchange, the China Securities Regulatory Commission, and other relevant authorities. The company emphasized that the completion of the merger is subject to regulatory approvals and there's no guarantee it will proceed. Investors are advised to monitor future announcements and exercise caution.